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Circle shareholder sues Trump and World Liberty Financial, accusing them of unconstitutional profits from UAE dealsAccording to Bloomberg, Circle shareholder Benjamin Greenberg has sued U.S. President Donald Trump and World Liberty Financial, a crypto venture co-founded by Trump and his family, in federal court in Washington, accusing Trump of illegally profiting from two deals involving the UAE, violating the U.S. Constitution’s Foreign Emoluments Clause, and harming Circle shareholders through unfair competition. The deals in question include an investment entity backed by members of the UAE royal family acquiring a 49% stake in World Liberty for $500 million, and Abu Dhabi’s MGX fund using its stablecoin USD1 to complete a $2 billion investment in Binance. The plaintiff is asking the court to prohibit the allegedly unconstitutional conduct, recover the illegal gains, and award damages. Circle stressed that the lawsuit was filed by an individual shareholder and that the company was not involved; World Liberty denied the allegations, saying its business complies with U.S. laws and regulations.

Circle shareholder sues Trump and World Liberty Financial, accusing them of unconstitutional profits from UAE deals

According to Bloomberg, Circle shareholder Benjamin Greenberg has sued U.S. President Donald Trump and World Liberty Financial, a crypto venture co-founded by Trump and his family, in federal court in Washington, accusing Trump of illegally profiting from two deals involving the UAE, violating the U.S. Constitution’s Foreign Emoluments Clause, and harming Circle shareholders through unfair competition. The deals in question include an investment entity backed by members of the UAE royal family acquiring a 49% stake in World Liberty for $500 million, and Abu Dhabi’s MGX fund using its stablecoin USD1 to complete a $2 billion investment in Binance. The plaintiff is asking the court to prohibit the allegedly unconstitutional conduct, recover the illegal gains, and award damages. Circle stressed that the lawsuit was filed by an individual shareholder and that the company was not involved; World Liberty denied the allegations, saying its business complies with U.S. laws and regulations.
JPMorgan: U.S. Regulatory Initiatives Partially Offset Impact of CLARITY Act Stalling, but Political and Legal Risks RemainJPMorgan analysts said recent policy initiatives by U.S. regulators have partially offset the negative impact of the CLARITY Act stalling in the Senate, but political and legal risks will persist. The SEC introduced a five-year innovation exemption for tokenized stocks; the CFTC is exploring allowing regulated platforms to offer leveraged crypto trading; the OCC granted national trust charters to stablecoin issuers and digital asset firms; and the FASB is considering allowing companies to classify some stablecoins as cash equivalents. JPMorgan believes these measures could help attract institutional participation in the short term, but may be reversed by a future administration and cannot replace legislation passed by Congress. The CLARITY Act is unlikely to pass this year and may be revived in 2027. Until comprehensive market-structure legislation is enacted, the crypto industry will continue to face a high political and legal risk premium. (The Block)

JPMorgan: U.S. Regulatory Initiatives Partially Offset Impact of CLARITY Act Stalling, but Political and Legal Risks Remain

JPMorgan analysts said recent policy initiatives by U.S. regulators have partially offset the negative impact of the CLARITY Act stalling in the Senate, but political and legal risks will persist. The SEC introduced a five-year innovation exemption for tokenized stocks; the CFTC is exploring allowing regulated platforms to offer leveraged crypto trading; the OCC granted national trust charters to stablecoin issuers and digital asset firms; and the FASB is considering allowing companies to classify some stablecoins as cash equivalents. JPMorgan believes these measures could help attract institutional participation in the short term, but may be reversed by a future administration and cannot replace legislation passed by Congress. The CLARITY Act is unlikely to pass this year and may be revived in 2027. Until comprehensive market-structure legislation is enacted, the crypto industry will continue to face a high political and legal risk premium. (The Block)
Wu Blockchain learned that the Blockchain Association sent a letter to the leadership of both chambers of Congress, urging them to advance bipartisan digital asset tax legislation. It also launched a public advocacy campaign encouraging people to share their views with members of Congress. The association noted that about 67 million people in the United States hold or use digital assets, and that uncertainty in current tax rules increases compliance burdens and may drive innovation overseas. Its proposed tax principles include establishing a tax-free threshold for small transactions; taxing mining and staking rewards when they are disposed of; protecting taxpayer privacy; determining tax treatment based on economic substance rather than technical form; and establishing wash-sale rules that prevent abuse without affecting everyday transactions.
Wu Blockchain learned that the Blockchain Association sent a letter to the leadership of both chambers of Congress, urging them to advance bipartisan digital asset tax legislation. It also launched a public advocacy campaign encouraging people to share their views with members of Congress. The association noted that about 67 million people in the United States hold or use digital assets, and that uncertainty in current tax rules increases compliance burdens and may drive innovation overseas. Its proposed tax principles include establishing a tax-free threshold for small transactions; taxing mining and staking rewards when they are disposed of; protecting taxpayer privacy; determining tax treatment based on economic substance rather than technical form; and establishing wash-sale rules that prevent abuse without affecting everyday transactions.
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According to Bloomberg, the Commodity Markets Council (CMC), which represents derivatives exchanges such as CME Group and industry traders, has urged the U.S. CFTC to block Kalshi’s planned perpetual crude oil futures contract, arguing that such products could threaten market integrity. Earlier this month, Kalshi launched a WTI crude oil futures contract with a 10-year term that trades five days a week, and on Tuesday applied to launch a perpetual contract with no expiration date. The CMC believes regulators should ensure that such products comply with uniform standards and work with overseas regulators to prevent U.S. traders from using VPNs to bypass geographic restrictions and access offshore trading platforms. CME had previously shelved its plan for around-the-clock crude oil futures trading amid industry opposition and regulatory resistance.
According to Bloomberg, the Commodity Markets Council (CMC), which represents derivatives exchanges such as CME Group and industry traders, has urged the U.S. CFTC to block Kalshi’s planned perpetual crude oil futures contract, arguing that such products could threaten market integrity. Earlier this month, Kalshi launched a WTI crude oil futures contract with a 10-year term that trades five days a week, and on Tuesday applied to launch a perpetual contract with no expiration date. The CMC believes regulators should ensure that such products comply with uniform standards and work with overseas regulators to prevent U.S. traders from using VPNs to bypass geographic restrictions and access offshore trading platforms. CME had previously shelved its plan for around-the-clock crude oil futures trading amid industry opposition and regulatory resistance.
According to official Espresso announcements, benchmarks following its mainnet upgrade showed data throughput of 181 MB/s in a 100-node environment simulating global network latency. Assuming 180 bytes per stablecoin transfer, this could theoretically support more than 1 million transfers per second, with an average finality time of 778 milliseconds under peak load. The upgrade moved block building inside validator nodes, enabled single-hop message delivery through a fully connected encrypted network, eliminated the separate data availability committee in favor of consensus votes to prove data availability, and introduced XOR erasure coding and BLAKE3 hashing to reduce computational overhead.
According to official Espresso announcements, benchmarks following its mainnet upgrade showed data throughput of 181 MB/s in a 100-node environment simulating global network latency. Assuming 180 bytes per stablecoin transfer, this could theoretically support more than 1 million transfers per second, with an average finality time of 778 milliseconds under peak load. The upgrade moved block building inside validator nodes, enabled single-hop message delivery through a fully connected encrypted network, eliminated the separate data availability committee in favor of consensus votes to prove data availability, and introduced XOR erasure coding and BLAKE3 hashing to reduce computational overhead.
Arbitrum Foundation and Robinhood Chain Launch Second Accelerator Program with a $100,000 Prize PoolWuBlockchain learned that the Arbitrum Foundation has announced the opening of applications for its second accelerator program, in partnership with Robinhood Chain. The program is aimed at startup teams building early-stage products on Arbitrum One and Robinhood Chain. It will run for 12 weeks. Applications close on December 6, 2026, and selected projects will begin the program on January 5, 2027, with a final Demo Day on March 25, 2027, where they will pitch to more than 50 venture capital firms. The program will offer a total prize pool of $100,000 to outstanding teams, along with fundraising introductions and hands-on strategic guidance from ecosystem partners including Pantera, Pendle, Paxos, and Offchain Labs.

Arbitrum Foundation and Robinhood Chain Launch Second Accelerator Program with a $100,000 Prize Pool

WuBlockchain learned that the Arbitrum Foundation has announced the opening of applications for its second accelerator program, in partnership with Robinhood Chain. The program is aimed at startup teams building early-stage products on Arbitrum One and Robinhood Chain. It will run for 12 weeks. Applications close on December 6, 2026, and selected projects will begin the program on January 5, 2027, with a final Demo Day on March 25, 2027, where they will pitch to more than 50 venture capital firms. The program will offer a total prize pool of $100,000 to outstanding teams, along with fundraising introductions and hands-on strategic guidance from ecosystem partners including Pantera, Pendle, Paxos, and Offchain Labs.
XHunt lists 20 Chinese Web3 KOLs inactive for over six months, including Bo Shen, Annie Yi, and JJ LinWu Blockchain learned that, according to statistics compiled by the XHunt Chinese community using its “Ghost Detection” tool, 20 Chinese Web3 KOLs and well-known accounts that have not posted a new tweet for more than six months were identified (as of October 21, 2026). The list includes early DeFi and public blockchain researcher YH (inactive for 1,592 days), X Rabbits Club founder Yishuihan (1,468 days), well-known traders Banmuxia (1,389 days) and Daniel Laoduo (1,246 days); institutional investors and ecosystem builders include “the top Chinese DeFi player” He Taiji (719 days), SeeDAO founder Tang Han (654 days), DappReview founder Vincent Niu (641 days), Bixin Group founder Xingkong (248 days), and Distributed Capital founder Bo Shen (204 days). Also on the list are entertainers Annie Yi (624 days) and JJ Lin (240 days), who have ventured into the NFT space, as well as former AltLayer growth lead Dorothy (519 days), early creator Panni (502 days), and live trader “If I Don’t Understand” (210 days), among others. XHunt noted that reasons for going inactive include taking time off for health reasons, shifting priorities in life, leaving the industry, or moving to another account.

XHunt lists 20 Chinese Web3 KOLs inactive for over six months, including Bo Shen, Annie Yi, and JJ Lin

Wu Blockchain learned that, according to statistics compiled by the XHunt Chinese community using its “Ghost Detection” tool, 20 Chinese Web3 KOLs and well-known accounts that have not posted a new tweet for more than six months were identified (as of October 21, 2026). The list includes early DeFi and public blockchain researcher YH (inactive for 1,592 days), X Rabbits Club founder Yishuihan (1,468 days), well-known traders Banmuxia (1,389 days) and Daniel Laoduo (1,246 days); institutional investors and ecosystem builders include “the top Chinese DeFi player” He Taiji (719 days), SeeDAO founder Tang Han (654 days), DappReview founder Vincent Niu (641 days), Bixin Group founder Xingkong (248 days), and Distributed Capital founder Bo Shen (204 days). Also on the list are entertainers Annie Yi (624 days) and JJ Lin (240 days), who have ventured into the NFT space, as well as former AltLayer growth lead Dorothy (519 days), early creator Panni (502 days), and live trader “If I Don’t Understand” (210 days), among others. XHunt noted that reasons for going inactive include taking time off for health reasons, shifting priorities in life, leaving the industry, or moving to another account.
GreeksLive: 16,000 BTC options to expire on October 23; market still moving sideways near the bottom of a bear marketWuBlockchain learned from GreeksLive that 16,000 BTC options (notional value: $1.28 billion; max pain: $82,000) and 58,000 ETH options (notional value: $250 million; max pain: $2,460) will expire on October 23. Although this expiration is relatively small and BTC has strong support at $80,000, the market is still moving sideways near the bottom of a bear market. Major options data show that implied volatility (IV) is currently low, holding above 35%, while the market has low volatility expectations for future price movements. GEX is relatively dispersed rather than concentrated around round-number levels as it has been in the past, indicating a lack of market consensus. Cycle theory suggests that the conditions for the start of a major bull market are not yet in place. Given the low IV of monthly out-of-the-money options, adding some directional downside protection remains cost-effective at current levels.

GreeksLive: 16,000 BTC options to expire on October 23; market still moving sideways near the bottom of a bear market

WuBlockchain learned from GreeksLive that 16,000 BTC options (notional value: $1.28 billion; max pain: $82,000) and 58,000 ETH options (notional value: $250 million; max pain: $2,460) will expire on October 23. Although this expiration is relatively small and BTC has strong support at $80,000, the market is still moving sideways near the bottom of a bear market. Major options data show that implied volatility (IV) is currently low, holding above 35%, while the market has low volatility expectations for future price movements. GEX is relatively dispersed rather than concentrated around round-number levels as it has been in the past, indicating a lack of market consensus. Cycle theory suggests that the conditions for the start of a major bull market are not yet in place. Given the low IV of monthly out-of-the-money options, adding some directional downside protection remains cost-effective at current levels.
According to Bitget market data, during U.S. trading, most AI-related stocks fell: Applied Optoelectronics (AAOI) dropped 8.08%, AMD (AMD) fell 3.79%, Marvell Technology (MRVL) fell 3.75%, SK hynix (SKHY) fell 3.19%, American Superconductor (AMSC) fell 2.79%, TSMC (TSM) fell 1.80%, and Broadcom (AVGO) fell 1.62%. Most crypto-related stocks also fell: Bitdeer (BTDR) dropped 1.49%, Strategy (MSTR) rose 0.97%, Coinbase (COIN) fell 0.94%, and Circle (CRCL) fell 0.01%.
According to Bitget market data, during U.S. trading, most AI-related stocks fell: Applied Optoelectronics (AAOI) dropped 8.08%, AMD (AMD) fell 3.79%, Marvell Technology (MRVL) fell 3.75%, SK hynix (SKHY) fell 3.19%, American Superconductor (AMSC) fell 2.79%, TSMC (TSM) fell 1.80%, and Broadcom (AVGO) fell 1.62%. Most crypto-related stocks also fell: Bitdeer (BTDR) dropped 1.49%, Strategy (MSTR) rose 0.97%, Coinbase (COIN) fell 0.94%, and Circle (CRCL) fell 0.01%.
Circle shareholder sues Trump family-backed crypto venture WLFI, alleging unconstitutional profiteeringAccording to POLITICO, Joel Greenberg, a shareholder in Circle Internet Group, has filed a lawsuit in federal court against World Liberty Financial, a crypto venture co-founded by U.S. President Donald Trump and his family. The suit alleges that Trump used his office to profit from two business deals linked to the United Arab Emirates, violating the Foreign Emoluments Clause of the U.S. Constitution, which bars the president from accepting any payment or benefit from a foreign government without congressional approval. In one deal, WLFI sold a 49% stake for $500 million, with the funds allegedly coming from the UAE. The other involved an investment fund established by the UAE government purchasing $2 billion worth of the Trump family’s digital currency. The White House and Circle representatives have not yet immediately responded to requests for comment.

Circle shareholder sues Trump family-backed crypto venture WLFI, alleging unconstitutional profiteering

According to POLITICO, Joel Greenberg, a shareholder in Circle Internet Group, has filed a lawsuit in federal court against World Liberty Financial, a crypto venture co-founded by U.S. President Donald Trump and his family. The suit alleges that Trump used his office to profit from two business deals linked to the United Arab Emirates, violating the Foreign Emoluments Clause of the U.S. Constitution, which bars the president from accepting any payment or benefit from a foreign government without congressional approval. In one deal, WLFI sold a 49% stake for $500 million, with the funds allegedly coming from the UAE. The other involved an investment fund established by the UAE government purchasing $2 billion worth of the Trump family’s digital currency. The White House and Circle representatives have not yet immediately responded to requests for comment.
Uniswap Aggregator Hooks Launch on Ethereum, Base, and Robinhood ChainUniswap Labs announced that Aggregator Hooks are now live on Ethereum, Base, and Robinhood Chain, bringing liquidity from external platforms into Uniswap v4 and helping users find better trading routes. Fluid, Curve, and PancakeSwap are the first external liquidity sources to integrate. The feature is available through the Uniswap web app and API, with support for more blockchains planned in the future. Aggregator Hooks are built on Uniswap v4’s Hooks feature, wrapping liquidity from external platforms into Uniswap v4 liquidity pools. Uniswap then compares prices on its own platform and external platforms to select the optimal route. (TheBlock)

Uniswap Aggregator Hooks Launch on Ethereum, Base, and Robinhood Chain

Uniswap Labs announced that Aggregator Hooks are now live on Ethereum, Base, and Robinhood Chain, bringing liquidity from external platforms into Uniswap v4 and helping users find better trading routes. Fluid, Curve, and PancakeSwap are the first external liquidity sources to integrate. The feature is available through the Uniswap web app and API, with support for more blockchains planned in the future. Aggregator Hooks are built on Uniswap v4’s Hooks feature, wrapping liquidity from external platforms into Uniswap v4 liquidity pools. Uniswap then compares prices on its own platform and external platforms to select the optimal route. (TheBlock)
Wu Says Daily Crypto News - Dragonfly Partner: Crypto Industry Is on the Front Lines of a Global Wave of Hacking1. Dragonfly Partner: Crypto Industry Is on the Front Lines of a Global Wave of Hacking Dragonfly Managing Partner Haseeb Qureshi said that global cybersecurity is facing a wave of hacking attacks resembling the COVID-19 pandemic, and the crypto industry is experiencing this trend first. He believes that because on-chain attacks are the easiest to monetize directly, security incidents involving crypto protocols can be viewed as an early warning of cybersecurity risks across the entire internet. The number of hacks in the crypto industry has surged, but the annualized total value of stolen funds is roughly on par with 2025, indicating that the average loss per attack has declined. Haseeb noted that attackers are focusing on smaller DeFi protocols with weak security measures and inadequate maintenance, while larger protocols have begun using AI tools to strengthen their defenses. He expects a similar trend of large-scale attacks to spread to the traditional internet industry as well.

Wu Says Daily Crypto News - Dragonfly Partner: Crypto Industry Is on the Front Lines of a Global Wave of Hacking

1. Dragonfly Partner: Crypto Industry Is on the Front Lines of a Global Wave of Hacking
Dragonfly Managing Partner Haseeb Qureshi said that global cybersecurity is facing a wave of hacking attacks resembling the COVID-19 pandemic, and the crypto industry is experiencing this trend first. He believes that because on-chain attacks are the easiest to monetize directly, security incidents involving crypto protocols can be viewed as an early warning of cybersecurity risks across the entire internet. The number of hacks in the crypto industry has surged, but the annualized total value of stolen funds is roughly on par with 2025, indicating that the average loss per attack has declined. Haseeb noted that attackers are focusing on smaller DeFi protocols with weak security measures and inadequate maintenance, while larger protocols have begun using AI tools to strengthen their defenses. He expects a similar trend of large-scale attacks to spread to the traditional internet industry as well.
The BNB Chain development team announced that the BNB Smart Chain (BSC) testnet is scheduled to undergo the Jenner hard fork upgrade on October 28. Key features of the upgrade include a dedicated “Payment Lane,” which reserves 5% of each block’s gas limit by default for eligible payment transactions; support for millisecond-level block timestamps in smart contracts; and new functionality related to the CAS20 compliant asset standard. The team urged validators, node operators, block builders, and developers to prepare for the upgrade in advance. Testnet nodes must upgrade to compatible clients before activation.
The BNB Chain development team announced that the BNB Smart Chain (BSC) testnet is scheduled to undergo the Jenner hard fork upgrade on October 28. Key features of the upgrade include a dedicated “Payment Lane,” which reserves 5% of each block’s gas limit by default for eligible payment transactions; support for millisecond-level block timestamps in smart contracts; and new functionality related to the CAS20 compliant asset standard. The team urged validators, node operators, block builders, and developers to prepare for the upgrade in advance. Testnet nodes must upgrade to compatible clients before activation.
CMCC Global Partners with Tether and Bitfinex Securities to Tokenize Two FundsDigital asset management firm CMCC Global announced a partnership with Tether and Bitfinex Securities to tokenize shares in its Crest Fund and Liberty Bitcoin Accumulation Fund (LBAF). The two funds will be among the first tokenized funds of funds issued under El Salvador’s digital asset legal framework. They will use Tether’s Hadron platform and be issued and traded through Bitfinex Securities. Crest is denominated in U.S. dollars and targets returns above the yield on short-term U.S. Treasury bills; LBAF is denominated in Bitcoin and targets an annualized net return of 8% to 12%. Listed digital asset treasury company BTCS S.A. is expected to invest a triple-digit number of bitcoins as an anchor investor; the specific amount was not disclosed. Subscriptions for both offerings are now open and will close on October 30. The issue prices are $10 per CREST token and 0.0001 BTC per LBAF token, with a minimum subscription of one token for each.

CMCC Global Partners with Tether and Bitfinex Securities to Tokenize Two Funds

Digital asset management firm CMCC Global announced a partnership with Tether and Bitfinex Securities to tokenize shares in its Crest Fund and Liberty Bitcoin Accumulation Fund (LBAF). The two funds will be among the first tokenized funds of funds issued under El Salvador’s digital asset legal framework. They will use Tether’s Hadron platform and be issued and traded through Bitfinex Securities. Crest is denominated in U.S. dollars and targets returns above the yield on short-term U.S. Treasury bills; LBAF is denominated in Bitcoin and targets an annualized net return of 8% to 12%. Listed digital asset treasury company BTCS S.A. is expected to invest a triple-digit number of bitcoins as an anchor investor; the specific amount was not disclosed. Subscriptions for both offerings are now open and will close on October 30. The issue prices are $10 per CREST token and 0.0001 BTC per LBAF token, with a minimum subscription of one token for each.
According to Blockaid, the WAX multichain bridge, which spans WAX, Solana, and Ethereum, is under attack. The attacker withdrew wrapped tokens on WAX without paying, while the corresponding assets were released on Solana and Ethereum. Approximately 52,986 USDC, 21,558 USDT, 840 DAI, 2.55 WETH, and 0.11 WBTC were transferred in five transactions. Blockaid says the code has not been fixed and the vulnerability remains.
According to Blockaid, the WAX multichain bridge, which spans WAX, Solana, and Ethereum, is under attack. The attacker withdrew wrapped tokens on WAX without paying, while the corresponding assets were released on Solana and Ethereum. Approximately 52,986 USDC, 21,558 USDT, 840 DAI, 2.55 WETH, and 0.11 WBTC were transferred in five transactions. Blockaid says the code has not been fixed and the vulnerability remains.
According to Financewire, X Pay, a payment infrastructure provider for AI agents and APIs, announced that it has raised $1 million from nine investors, including DCI, Credit Scend, Skyland Ventures, and Zerra Ventures. The funding will be used to expand the blockchain networks it supports, conduct an independent security review, launch an API marketplace, and prepare for EU regulatory requirements, including MiCA.
According to Financewire, X Pay, a payment infrastructure provider for AI agents and APIs, announced that it has raised $1 million from nine investors, including DCI, Credit Scend, Skyland Ventures, and Zerra Ventures. The funding will be used to expand the blockchain networks it supports, conduct an independent security review, launch an API marketplace, and prepare for EU regulatory requirements, including MiCA.
Wu learned that initial jobless claims in the US for the week ending October 17 were 194,000, compared with expectations of 200,000 and a previous reading of 199,000.
Wu learned that initial jobless claims in the US for the week ending October 17 were 194,000, compared with expectations of 200,000 and a previous reading of 199,000.
According to Axios, Visa is in talks to acquire Fireblocks, a crypto asset custody infrastructure company, in a deal valued at approximately $2.5 billion. If completed, the deal would further expand Visa’s presence in digital asset custody and blockchain payment infrastructure. The report has yet to be confirmed, and the specific terms and progress of the acquisition talks have not been disclosed.
According to Axios, Visa is in talks to acquire Fireblocks, a crypto asset custody infrastructure company, in a deal valued at approximately $2.5 billion. If completed, the deal would further expand Visa’s presence in digital asset custody and blockchain payment infrastructure. The report has yet to be confirmed, and the specific terms and progress of the acquisition talks have not been disclosed.
XMTP Labs to Shut Down Shared Communications Network in Early 2027, Shift to Open-Source, Self-Hosted InfrastructureShane Mac, co-founder of Web3 communications protocol XMTP, announced that XMTP Labs will shut down its shared communications network in early 2027 and shift to open-source, self-hosted messaging infrastructure that requires neither tokens nor crypto wallets, with a focus on supporting encrypted communications between humans and AI agents. Mac acknowledged that Web3 social and communications had failed to meet expectations. The team had long relied on partners to drive network adoption, but sustainable demand never materialized. He also confirmed that XMTP has never issued a token and never will, because it has not found a viable model in which token value is supported by genuine usage demand. XMTP raised $20 million in a Series A round led by a16z Crypto in 2021, then completed a $20 million Series B round in 2025 at an equity valuation of $300 million.

XMTP Labs to Shut Down Shared Communications Network in Early 2027, Shift to Open-Source, Self-Hosted Infrastructure

Shane Mac, co-founder of Web3 communications protocol XMTP, announced that XMTP Labs will shut down its shared communications network in early 2027 and shift to open-source, self-hosted messaging infrastructure that requires neither tokens nor crypto wallets, with a focus on supporting encrypted communications between humans and AI agents. Mac acknowledged that Web3 social and communications had failed to meet expectations. The team had long relied on partners to drive network adoption, but sustainable demand never materialized. He also confirmed that XMTP has never issued a token and never will, because it has not found a viable model in which token value is supported by genuine usage demand. XMTP raised $20 million in a Series A round led by a16z Crypto in 2021, then completed a $20 million Series B round in 2025 at an equity valuation of $300 million.
Coinbase: Proposed UK crypto rules could restrict regulated platforms’ access to DeFiCoinbase’s head of European policy, Katie Harries, wrote that proposed crypto asset regulations by the UK Financial Conduct Authority (FCA) could require regulated platforms to execute customer orders only on trading venues authorized by the FCA, potentially restricting users’ access to DeFi protocols through compliant platforms. Since decentralized protocols typically have no regulated entity, the rules could prevent regulated platforms from offering access to DeFi, amounting to an effective ban. The rules are expected to take effect on October 25, 2027. Harries argued that broadly restricting access to DeFi would not eliminate these activities, but could instead push trading into channels that are harder for regulators to monitor. She urged the FCA to “regulate the gateways, not block the technology,” allowing compliant platforms to offer access to DeFi provided they disclose the risks, obtain users’ consent, and assess protocol risks. She also noted that the EU and US are exploring ways to combine traditional finance and DeFi, and that the UK should leave room for innovation. (Cointelegraph)

Coinbase: Proposed UK crypto rules could restrict regulated platforms’ access to DeFi

Coinbase’s head of European policy, Katie Harries, wrote that proposed crypto asset regulations by the UK Financial Conduct Authority (FCA) could require regulated platforms to execute customer orders only on trading venues authorized by the FCA, potentially restricting users’ access to DeFi protocols through compliant platforms. Since decentralized protocols typically have no regulated entity, the rules could prevent regulated platforms from offering access to DeFi, amounting to an effective ban. The rules are expected to take effect on October 25, 2027. Harries argued that broadly restricting access to DeFi would not eliminate these activities, but could instead push trading into channels that are harder for regulators to monitor. She urged the FCA to “regulate the gateways, not block the technology,” allowing compliant platforms to offer access to DeFi provided they disclose the risks, obtain users’ consent, and assess protocol risks. She also noted that the EU and US are exploring ways to combine traditional finance and DeFi, and that the UK should leave room for innovation. (Cointelegraph)
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